Amazon.com Inc. AMZN shareholders seek to challenge its executive pay, tax transparency, working conditions and unionization as CEO Andy Jassy faces his first annual meeting, Financial Times reports.
Amazon opposed 15 shareholder proposals, the most it has faced since 2010. It should be noted that founder and former CEO Jeff Bezos controls 12.7% of the overall vote.
Read also : Amazon’s problems grow as workers’ rights advocates denounce its program for injured workers
Still, the strength of the opposition could force the company to change its policies and practices as big tech companies are increasingly vulnerable to investors who want them to become more responsive to public controversies.
The AGM is a huge leadership challenge for CEO Jassy, who has grown since the start of the year as Amazon’s share price plummeted 40% amid the massive tech sell-off , but also due to rising costs for Amazon’s retail arm.
Amazon Labor Union leader Chris Smalls will call Amazon to release a report detailing its “freedom of association” policies and collective bargaining.
Influential investor advisory groups Institutional Shareholder Services (ISS) and Glass Lewis have backed a proposal for a racial equality audit and an independent audit of working conditions at Amazon facilities that the Norwegian pension fund Norges Bank agreed to support.
Norges Bank gave similar support to a call for more transparent tax reporting backed by Glass Lewis and Morningstar Sustainalytics.
Price action: AMZN shares traded down 1.64% to $2,115.91 pre-market when last checked on Tuesday.
Photo by christian-wiediger via Unsplash